United Airlines CEO Frustrated with Boeing Manufacturing Problems

United Airlines CEO Disappointed in Boeing's Manufacturing Problems

The CEO of United Airlines, Scott Kirby, has expressed his disappointment in the ongoing manufacturing problems at Boeing. These issues have resulted in the grounding of dozens of United jetliners. Kirby stated that Boeing needs to take real action to restore its previous reputation for quality.

This comes after United Airlines announced that it expects to incur losses in the first quarter of this year due to the grounding of its Boeing 737 Max 9 jets. The grounding was initiated after a panel blew out of an Alaska Airlines Max 9 during a flight, causing significant damage. Investigations are currently underway to determine the cause.

Kirby believes that the Max 9s could soon be cleared to fly again, but he remains disappointed with the recurring manufacturing challenges at Boeing.

United Considers Alternatives to Purchasing Larger Boeing 737 Max

United Airlines has a standing order for the larger version of the Boeing 737 Max, called the Max 10. However, due to the ongoing manufacturing problems and the grounding of the Max 9 jets, United is considering alternatives to purchasing the Max 10.

Kirby did not specify what planes the airline is considering as alternatives, but he mentioned that apart from Boeing, Airbus is the only other global manufacturer of similar large planes. This decision to potentially forgo the Max 10 could affect United's growth plans.

Boeing Apologizes and Promises Changes

Stan Deal, CEO of Boeing's commercial airplanes division, has apologized for the Max 9 grounding and acknowledged the significant disruption it has caused to airlines and passengers. Deal stated that Boeing is taking comprehensive action to bring the affected airplanes back into service safely and to improve their quality and delivery performance.

Shares of United Airlines Holdings Inc. rose following the news, while The Boeing Co. saw a slight decrease in its shares.